Volkswagen Group’s battery company PowerCo and QuantumScape announced they have entered into a groundbreaking agreement to industrialize QuantumScape’s next-generation solid-state lithium-metal battery technology.
Upon satisfactory technical progress and certain royalty payments, QuantumScape will grant PowerCo the license to mass produce battery cells.
Under the non-exclusive license, PowerCo can manufacture up to 40 gigawatt-hours (GWh) per year using QuantumScape’s technology with the option to expand up to 80 GWh, enough to outfit approximately one million vehicles per year.
The companies believe this high-touch engagement represents the fastest way to achieve gigawatt-hour-scale production of solid-state technology to meet the growing global demand for better electric vehicle batteries.
The agreement creates a highly collaborative partnership that amplifies the companies’ core competencies – QuantumScape’s cutting-edge technology and PowerCo’s global capabilities in industrialization and manufacturing facilities.
It will feature a combined workforce initiative to accelerate the industrialization.
QuantumScape’s technology platform is based on the company’s proprietary solid-state ceramic separator, which enables the use of a pure lithium-metal anode – a transformative innovation that is designed for exceptional energy and power density, fast charging and a robust safety profile.
Together, the companies will target a product that will be scaled-up for integration in a Volkswagen Group vehicle series.
“We want to redefine the future of battery technology, bringing the most sustainable and cutting-edge battery cells to our customers,” says Frank Blome, CEO of PowerCo.
“We have been collaborating and testing QuantumScape prototype cells for years now and we are looking forward to bringing this technology of the future into series production,” he adds.
“Electric vehicles are the future of mobility, and this agreement with QuantumScape will ensure the Volkswagen Group’s global fleet has access to this groundbreaking battery technology for years to come,” states Thomas Schmall, Volkswagen Group Board Member for Technology.
“This agreement is a major step in our long-term global scale-up strategy to bring QuantumScape’s solid-state lithium-metal battery technology to market,” indicates Siva Sivaram, CEO and president of QuantumScape.
“Combining our cutting-edge technology with PowerCo’s expertise in manufacturing and industrialization, this deal establishes a blueprint for a capital-light business approach and positions us at the forefront of energy storage innovation,” she adds.
To lead PowerCo in this next important phase of collaboration with QuantumScape, Frank Blome stepped off QuantumScape’s board of directors.
Blome had served on the board since 2020 as one of the two board members designated by the Volkswagen Group, which continues to be QuantumScape’s largest shareholder. His successor on the QuantumScape board will be announced in the coming months.
“Frank Blome has been an exceptional partner for QuantumScape for many years,” says Jagdeep Singh, co-founder and chairman of QuantumScape’s board of directors.
“He has provided invaluable contributions to QuantumScape’s product portfolio strategy and key decisions about industrialization. As we move forward, Frank will continue to be an active partner in this relationship as an anchor manufacturer of our innovative battery technology, ensuring strength and continuity in our collaborative efforts,” he adds.
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